Affirm Stock Rises on Earnings Beat and Shopify Australia Expansion

Affirm Holdings reported fiscal fourth-quarter results on August 27, 2026, that exceeded Wall Street expectations on both revenue and transaction volume, sending its stock sharply higher the following day. The buy-now-pay-later company also announced a strategic expansion with Shopify into Australia and provided an optimistic outlook for the coming fiscal year.

For the three months ended June 30, 2026, Affirm posted revenue of $1.17 billion, a 33% increase from the prior year and above analyst estimates of $1.11 billion. Gross merchandise volume, the total dollar value of transactions processed on its platform, climbed 36% to $14.1 billion, surpassing the $13.39 billion consensus forecast. The company's GAAP operating income was $147 million, yielding a 12.6% operating margin, which improved by six percentage points year-over-year. Adjusted operating income reached $353 million, representing a 30% margin.

The strong performance drove a significant rally in Affirm's stock. Shares closed at $84.42 on August 28, up 8.9% for the day, marking the stock's largest single-session gain since January. For the full fiscal year ended June 30, 2026, annual revenue came in at $4.26 billion,...